Natural gas fell on forecasts for less cold weather and lower heating demand.
Natural gas prices declined by 0.59%, settling at 234.9, driven by updated weather forecasts indicating less cold weather and lower heating demand over the next two weeks.
Traders also noted that record natural gas output in the Lower 48 U.S. states provided utilities with ample supply, reducing the need to draw extensively from storage to meet heating demand. According to LSEG, average gas output in the Lower 48 U.S. states increased to 107.7 billion cubic feet per day (bcfd) in November, up from the previous record of 104.2 bcfd in October. Although daily output was expected to dip, reaching a preliminary one-week low of 106.7 bcfd, traders cautioned that preliminary data often undergoes revisions later in the day.